Senate Bill sb0550

    Florida Senate - 2006                                   SB 550

    By Senator Baker





    20-503-06

  1                      A bill to be entitled

  2         An act relating to the Florida Prepaid College

  3         Program; amending s. 1009.98, F.S.; deleting a

  4         restriction on the types of postsecondary

  5         educational institutions in which a qualified

  6         beneficiary may use his or her benefits under

  7         the program; providing an effective date.

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  9  Be It Enacted by the Legislature of the State of Florida:

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11         Section 1.  Paragraph (a) of subsection (3) of section

12  1009.98, Florida Statutes, is amended to read:

13         1009.98  Florida Prepaid College Program.--

14         (3)  TRANSFER OF BENEFITS TO PRIVATE AND OUT-OF-STATE

15  COLLEGES AND UNIVERSITIES AND TO CAREER CENTERS.--A qualified

16  beneficiary may apply the benefits of an advance payment

17  contract toward:

18         (a)  An independent college or university that is

19  located and chartered in Florida, that is not for profit, that

20  is accredited by the Commission on Colleges of the Southern

21  Association of Colleges and Schools or the Accrediting Council

22  for Independent Colleges and Schools, and that confers degrees

23  as defined in s. 1005.02.

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25  The board shall transfer or cause to be transferred to the

26  institution designated by the qualified beneficiary an amount

27  not to exceed the redemption value of the advance payment

28  contract at a state postsecondary institution. If the cost of

29  registration or housing fees at such institution is less than

30  the corresponding fees at a state postsecondary institution,

31  the amount transferred may not exceed the actual cost of

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    Florida Senate - 2006                                   SB 550
    20-503-06




 1  registration and housing fees. A transfer authorized under

 2  this subsection may not exceed the number of semester credit

 3  hours or semesters of dormitory residence contracted on behalf

 4  of a qualified beneficiary.  Notwithstanding any other

 5  provision in this section, an institution must be an "eligible

 6  educational institution" under s. 529 of the Internal Revenue

 7  Code to be eligible for the transfer of advance payment

 8  contract benefits.

 9         Section 2.  This act shall take effect July 1, 2006.

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12                          SENATE SUMMARY

13    Deletes a restriction on the types of postsecondary
      educational institutions in which a qualified beneficiary
14    of the Florida Prepaid College Program may use his or her
      benefits under the program. Allows the use of such
15    benefits in for-profit, as well as not-for-profit,
      independent colleges or universities that are located and
16    chartered in this state and that meet other specified
      standards.
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CODING: Words stricken are deletions; words underlined are additions.